Friday, June 9

Soy and wheat up, corn mixed as traders eye planting report

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MEXICO CITY — US wheat and soybean futures were higher on Tuesday and corn was mixed as traders speculated over US planting acreage and grains availability in the Black Sea export corridor.

Traders squared positions as they looked ahead to Friday’s annual US Agriculture Department (USDA) planting intentions report.

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Analysts polled by Reuters ahead of the report on average expect 2023 corn plantings at 90.880 million acres, wheat at 48.852 million acres and soybeans at 88.242 million acres.

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Soybeans were also supported by a wider rise in the oilseed complex and sharp gains in crude prices.

Spring wheat gained on speculation over planting delays in the northern US Plains due to cold weather, analysts said.

“The bearish window is ending for the grain markets,” said Craig Turner of Daniels Trading. “We’re going to start seeing more of a bullish trend.”

The most active soybean contract on the Chicago Board of Trade (CBOT) was up 1.13% at $14.58-1/2 a bushel by 1035 CDT (1535 GMT) in a third straight session of gains.

Corn was flat at $6.48-1/4 a bushel after earlier hitting a fresh one-month high. CBOT wheat edged up 0.39% to $7.00-3/4 a bushel.

The USDA reported another flash sale to China of 136,000 tons of US corn.

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Continued uncertainties surrounded the Black Sea corridor and export volumes.

Ukraine’s 2022/23 grain exports fell 17.7% to 36.9 million tons as of March 27, reflecting a smaller harvest and logistical difficulties, agriculture ministry data showed.

“Ukraine’s only planting about two-thirds of their wheat that they normally do, and when you look at the stock, the usage for next year, wheat looks just as tight as it did the year before,” Turner added.

Russia has no plans to halt wheat exports but wants exporters to ensure high prices for farmers, sources told Reuters on Friday. (Reporting by Cassandra Garrison in Mexico City, Mei Mei Chu in Kuaka Lumpur and Sybille de La Hamaide in Paris; Editing by David Goodman and Jonathan Oatis)